There are so many insurance companies out there that it’s hard to know which companies are legitimate and which ones are only looking for your monthly fees and have no real plan of following through with their commitment. You can sort through the pretenders by checking out these housing insurance tips.
If you are building an addition to your home or considering a major renovation, check what effect this will have on your homeowner’s insurance rates. Wood-framed structures are considered to be a fire risk, for example, and will raise your insurance rates. Using cement, steel, or other fireproof materials will mean your addition costs less to insure.
When considering insurance for your home, be sure to sign up with a deal that has a guaranteed replacement value clause written into it. This will ensure that your house will be covered no matter what the cost of materials and labor currently are. This helps if you are in an area that has seen and will see an increase in construction costs and property value.
Certain things in your home will affect the cost of your insurance policy. For example, if you have a swimming pool, insurance costs run higher due to a higher level of liability. The distance between your house and emergency services will also impact policy pricing. You don’t need to be obsessive about choosing where your home is located to get lower rates, but these are things that you should simply keep in mind.
The home you have just bought is probably the largest investment in your life. It is a natural instinct to protect the value of your property. The way to do that is to purchase a home owner insurance policy, which is basically a contract between an insurance company and the home owner. As long as the home owner keeps paying the monthly premiums, the insurance company pays for certain losses such as damage caused by human actions or natural disasters.
Having insurance as a homeowner is a must, but you should never settle for just any policy backed by just any insurance company. Make sure you use these tips to find a great policy from a legitimate insurer whose services will be there in a timely fashion should you ever need them.